trivandrum development jun 13 2009

Trivandrum Development

Presentation to the Young Indians of Trivandrum

Ajay Prasad

June 13, 2009

www.tribiz.in

Contents

• About Trivandrum– Location– Quick Facts– Summary of Strategic Advantages

• Advantage Trivandrum• Major Developments• Investors• Benefits of Development projects• Key Action Steps

Location

• On the tip of the Indian Sub-continent• Trivandrum is the Southern-most major

city in India

• Located just 12 nautical miles from the main Persian Gulf/Suez to Malacca shipping lane

• Near strategic airline routes

Quick FactsTrivandrum

Political Status • Capital of Kerala State

City Status • Tier II• Largest city in Kerala

Population • 1 million (Core City Area)• 1.5 million (Agglomeration)

Area • 300 Sq.Km. (Agglomeration)• 2200 Sq. Km. (District)

Major Industries IT/ITES, Tourism, Services, Textiles, Aerospace, Electronics, Small and Medium-scale manufacturing

Economic Demographics • Per Capita Income – Rs 102,000• 30% of population in Sec A &B

Connectivity • Air (International and Domestic)• Rail and Road

Urban Growth Rate • 4% CAGR

Literacy Rate • 90%

Quick Facts: Catchment Zone

• Surrounding districts such as Kollam, Pathanamthitta, Kanyakumari, Tuticorin and Tirunelveli will provide a Primary Catchment (with 3.5 hours Travel time) for projects of commercial and residential nature in Trivandrum

• Secondary catchment (with 5.0 hours Travel time) Allapuzha, Kottayam, Ernakulum, Madurai, Virudhunagar districts will also positive impact for projects of commercial and residential nature.

• Trivandrum was ranked as a Pre-eminent Challenger City, next to the six metros and Pune by the NASSCOM – AT Kearney Survey in 2008

• The City has 2nd in the Nation with its Per Capita Income INR 102,156.

• Trivandrum was ranked as the Best Emerging Destination by Knight Frank in 2007-08

• Trivandrum leads cities like Coimbatore, Vizag, Mangalore, Mysore, Jaipur and Chandigarh in terms of IT Exports.

• The City achieved 60% growth in the IT sector in 2007-08

• The city has been ranked as one of the Most Affluent in India in terms of both Per Capita Income and Savings by Indicus.

• Trivandrum has been ranked as a top emerging city in surveys by Economic Times, Outlook and so on.

Trivandrum – According To The Experts..

World Class Facilities

Technopark, Technocity, KINFRA industrial parks

World Class Facilities

Technopark, Technocity, KINFRA industrial parks

Strategic Advantages of Trivandrum

Abundant International Data Connectivity

FALCON landing station

Abundant International Data Connectivity

FALCON landing station

World Class R&D Hubs

VSSC, CDAC, RRL, IIST, IISER

World Class R&D Hubs

VSSC, CDAC, RRL, IIST, IISER

Excellent Human Resources

Top-class EducationalInstitutions

Excellent Human Resources

Top-class EducationalInstitutions

Excellent Air, Rail and Road Connectivity

International Deepwater Port

Excellent Air, Rail and Road Connectivity

International Deepwater Port

Strategic LocationStrategic Location

Low Cost and High Quality of Living; World-class Social

and Urban Infrastructure

Low Cost and High Quality of Living; World-class Social

and Urban Infrastructure

TrivandrumDigital Capital

Natural Beauty and Tourist AttractionsNatural Beauty and Tourist Attractions

Contents



Strategic Location

• Located on the tip of the Indian sub-continent, Trivandrum is just a few Km from the main Persian Gulf/Suez to Malacca shipping channel which carries more than 25% of world trade

• Major air routes to S.E. Asia pass over Trivandrum

• Trivandrum is just 4 hours by air from Dubai and Singapore

• Biggest city in a region with almost 20 million population

• Possible transit point for tourist traffic in entire Indian Ocean

World Class Business Facilities

• Technopark – IT/ITES park with 4 million sq.ft. of operational space and 3.5 million sq.ft being added by 2011.

• Technocity - IT/ITES based integrated township with up to 15 million sq.ft. of space when complete in 2016. 5 million sq.ft. by 2012.

• Dedicated Industrial Parks for Animation & Gaming, Telecommunication Equipment, Apparel, Biotechnology and Health Services

• 4000-seater International Convention Center• Multiple industrial parks for small and medium industries• Dedicated 1100 hectare industrial zone for port-based industries• Proposed 2500 hectare Information Technology Investment Region

(ITIR)• Special Tourism Zone being established at Kovalam

R&D InstitutionsResearch Institutions: Provide intellectual inputs to knowledge-based firms as

well as a source of post-graduate and doctoral talent.– Vikram Sarabhai Space Centre: ISRO’s largest and most important facility– Centre for Development of Advanced Computing (C-DAC)C– Indian Institute of Science, Education and Research (IISER) – Centre for Earth Science Studies– National Institute of Interdisciplinary Science and Technology (NIIST –

formerly CSIR-RRL)f– Centre for Development of Imaging Technology (C-DIT)C– Sree Chitra Thirunal Institute of Medical Science and Technology

(SCTIMST) – India’s top centre for advanced cardio and neuro-surgical treatment and technology

– Rajiv Gandhi Centre for Biotechnology– Tropical Botanical Gardens and Research Institute

• This network of institutions can cater to the talent needs of almost every knowledge based industry – IT, ITES, KPO, biotechnology, animation and so on.

Global Connectivity

• Air: Trivandrum Int’l Airport already handles 2.5 million passengers/year and is connected to all major domestic and international destinations. – Direct connections to major Indian cities– Connections via Dubai, Singapore, Doha and Colombo to all major

international destinations– Direct flights to US proposed by Air India

• Rail: Trivandrum Central Station is the second busiest in S.India after Chennai Central and operates 50-60 trains per day to all major cities in India.

• Road: The city is linked by NH-47, NH-17 and the M.C. Road to all of Kerala and Tamilnadu and beyond. – 42 Kms of city roads currently being upgraded to 4/6 lane widths in first

phase of Road Development• Data: The international FALCON fibre-optic cable of FLAG Telecom lands in

Trivandrum and can provide up to 2,560 Gbps of connectivity to anywhere in the globe

Talent Pool• Trivandrum has a world-class cluster of top quality educational and R&D institutions

which create a diverse talent pool which can cater to every sector– Indian Institute of Space Technology (IIST)I– Indian Institute of Science, Education and Research (IISER) – College of Engineering Trivandrum: one of India’s oldest and best engg. Colleges– Medical College Trivandrum: Kerala’s oldest medical college; being upgraded to

AIIMS status.– 16 other engineering colleges and 4 private medical colleges– Asian School of Business– Indian Institute of Information Technology and Management – Kerala– Kerala University and Kerala Agricultural University– Fine Arts College and DC Media School– Nearly 25 arts, commerce and science colleges– Two law colleges– Over 30 CBSE/ICSE schools and one International School– Over 100 engineering colleges within primary and secondary catchment areas

• With nearly 100,000 skilled professionals working in industry and R&D, there is a major pool of experienced talent as well.

Cost and Quality of Life• Cost of living is lower than Tier I cities like Bangalore, by as much as 30%• Leisure Destinations:

– Trivandrum has an active club circuit with 6-7 major clubs including the Trivandrum Golf Club (one of the oldest in India), Trivandrum Tennis Club and the Trivandrum Club

– Other than the internationally-acclaimed beach destination of Kovalam – which is within City limits, a number of other spots offering beach, adventure tourism, backwayer and hill-station attractions are present within a 90 min drive from Trivandrum. This makes for very active weekends.

• In addition to traditional shopping zones, majors like the Future Group and Shoppers’ Stop have already set up operations or are doing so. – At least 6 shopping malls ranging from 200,000 to 1 million sq.ft are in

development.• Trivandrum is a centre for cinema, theatre and the performing arts. It hosts the

famous International Film Festival of Kerala and the Soorya Arts Festival annually– In addition to the 20-odd theatres in the city, multiplexes from leading chains are

under development• The city has about 6 five-star hotels, with more under development

Urban Infrastructure

• Unlike many other IT hubs, Trivandrum is planning ahead in terms of its infrastructure and is building capacity to handle the incoming tide of IT professionals without any urban chaos.

• Road network – 42 Km of new world-class city roads being built. IT Corridor being 4/6-laned

• Public Transport: Only public bus system in Kerala– Suburban rail under development.– Bus Rapid Transit System (BRTS) to be introduced under JNURM

• Water Supply: Complete coverage by water supply network. 280 million l/day capacity

• Electricity: First automated ring distribution system in India; feed from 440 KV PGCIL substation and State grid

• Sewerage System: Only city with sewerage system in Kerala.• Integrated solid waste management system in operation for 5 years

Social Infrastructure• Trivandrum has been consistently rated one of the Greenest and Cleanest cities in

India– A large number of parks of various sizes are scattered across the city– City has the best green cover of any large city in India

• The city has among the best health-care infrastructure in India with at least 7-8 tertiary hospitals and a total of up to 15,000 available beds.

• With over 30 CBSE and ICSE schools, and an International School, the city offers plenty of choices for the education of the children of professionals.

• High-quality living spaces are available in the city:– A mixture of stand-alone houses, villa developments and highrise apartments– Major players like DLF, Emaar MGF, Unitech, Raheja Group, Prestige, Confident,

SRK, SFS, Skyline, Heera, Condor etc are already in the market– Serviced apartments also entering the market– All types of apartments available – from economy to super-premium

• Integrated townships like Technocity as well as others by private developers are bringing in lifestyles on par with the metros or even the developed world.

Tourist Attractions• Kerala is one of India’s top tourist destinations

– Over 0.5 million foreign and 6.5 million domestic tourists in 2007-08• Trivandrum accounted for 30% of foreign tourist arrivals and 1.8 million

domestic tourists• Kovalam has been a top beach destination since the 1970s

– It is the single most sought-after beach destination by foreign tourists after Goa– Already has the complete range of hospitality options– Only destination serviced by regular charter flights from Europe and Russia.– Massive expansion possible along with Cruise Terminal at Vizhinjam

• Trivandrum can offer a wide-variety of other attractions as well:– Backwaters: Poovar, Aakulam, Kadinamkulam and Ashtamudi Lakes– Hill-stations: Ponmudi– Heritage attractions: Museums, palaces, cultural festivals and so on

• Trivandrum is famed for Ayurvedic treatments and for modern medicine– Accredited ayurvedic treatment centers– 4 Medical Colleges and 8 super-specialty tertiary hospitals– Trivandrum saw over 25,000 Medical-Value Tourists in 2007-08

Contents



Growth Areas in Trivandrum

International AirportAir India Hangar ComplexAir Cargo ComplexSatellite Rail TerminalBrahmos Aerospace



Railway Line

Courtesy: The Hindu

• Technopark Expansion – Phases II and III

• Technocity

• Vizhinjam Deep-water Container Transshipment Terminal

• Urban Infrastructure improvement – TCRIP and JNNURM

• Expansion of Trivandrum International Airport

• Upgradation of National Highway 47 and M.C. Road

• Educational Institutions – IISST and IISER

• Industries – Brahmos Aerospace, Air India MRO, Lifesciences Park, Apparel Park,

Animation and Media SEZ

Total Envisaged Investment = Rs 40,000 Crores (US$ 8 Billion)

Major Developmental Projects in Trivandrum

Contents



Investors in Trivandrum

Contents



• Major developmental projects have a range of impacts on the local economy and

community, besides at a regional and national level– Direct Economic Impact – Indirect Economic Impact– Government Revenue Impact– Intangible benefits

• Projects also tend to have different impact profiles at different stages of their life-cycle

– Development Stage– Operation Stage

• Since major projects often have a long life-time (> 10 years), they are the best possible engines of local economic development

• Only by promoting economic growth within the community can we bring sustainable development to all sections of the community

Economic Impact of Projects

Total Envisaged Investment = Rs 10,000 Crores (US$ 2 Billion)

Annual Contribution to Economy = Rs 5000 Crores (US$ 1 Billion)

Project Impact – Case Study: Technocity

Development

Project Stage Impact BeneficiariesConstruction of 10 million Sq.ft of

space over 8 yearsInvestment = Rs 1200 Cr

Jobs = 5000 per year

Construction IndustryConstruction Workers

Local Govt.Local Community

• 100,000 Direct Jobs• 150,000 Indirect Jobs• Disp Income = Rs 3000 Crores• Amount spent in local economy = Rs 1500 Crores per year• Tax Income = Rs 300 Crores• Housing Demand = 20,000 units

Operation

Construction IndustryService Sector

Real Estate SectorLocal And Union Govt.

Local and Regional Community

Intangible benefits include brand building and attracting

related industries to Trivandrum

Business SectorLocal and Regional

Community

Major Hurdles Facing Development

• Lack of Governmental focus– Inadequate representation in State Government– Lack of task-focused bodies– Lack of professional expertise– Development has been considered a non-issue till

recently• Inadequate branding of Trivandrum as an Investment

Destination• Media apathy• Lack of Local Initiative

– Absence of a multi-entity development platform– Development is yet to become a prime concern amongst

the Public and Business Community– Lack of awareness of tangible impact– Imperfect information amongst the community

Contents



Key Action Steps

• Creation of a common platform to promote development– Business community, pro-development groups, experts

and community organisations– Lobby with the Government; possibly through an MoU– City Connect: an initiative of CII, the business community

and various NGOs – is a possible model• Create awareness among the general public

– Through seminars and publicity campaigns among students and the community

• Branding Trivandrum as an Investment Destination– Include common facts in company advertisements– Spread awareness among clients and business partners– An Investment Promotion website

Branding Trivandrum

• A few phrases which can be used in all marketing communications:

– “Capital City of Kerala”– “Largest City in Kerala”– “IT and high-technology hub of Kerala”– “4th biggest IT/ITES hub in South India”– “Trivandrum International Airport”– “Knowledge City”– “Central Business District”– Project distances from key points like Technopark, Intl'

Airport, Secretariat– “Second Most Affluent City in India”– “Centre of business for South Kerala and South

Tamilnadu”

Key Action Steps – Long Term

• Create a full-time Investment Promotion organisation– Dedicated budget and team– Joint-venture of Chamber of Commerce, CII, NGOs and

Government– Offer facilitation for potential investors– Build relationships with investment promotion

organisations across India and the world.

• Outbound activities to attract investors– Periodic Investor Meets– Investment Road-shows to be held in key cities across

India and the world

Thank You!

Let Us Make this Work Together

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